### 1. Understand the characteristics of a bear market
- **Definition**: A bear market generally refers to a market price drop of 20% or more that lasts for a period of time.
- **Psychological impact**: A market drop can easily cause panic and despair.
### 2. Stay calm and rational
- **Avoid making emotional decisions**: When the market falls, emotions can easily affect decisions, leading to irrational selling behavior.
- **Long-term perspective**: Investments should be based on long-term goals, and short-term fluctuations should not change long-term strategies.
### 3. Diversify investment risks
- **Asset allocation**: Diversify your funds into different asset classes to reduce risk.
- **Prevent concentration risk**: Avoid concentrating all funds on one stock or one industry. #Binance $BTC